It sounds to me as if you are trying to cut the angle on your drill bits too shallow. Try changing the agle from 118° to something more like 125° and if that still isn't enough, try going all the way to 135°.
Another problem may be you aren't getting the fluts set right with the alignment process. I'm not sure how to tell you how to correct this on your Drill Doctor because I have an XPK and I think you have a different model.
However, Have you tried going to the Drill Doctor website and viewing the instructional video? It may help you. They also have the instructional guide for your machine available in .PDF format.http://www.genext.drilldoctor.com/content/view/20/37/
I have one of their instructional DVD's which they sent with mine. If it would help, click on my name on the left of this post and send me a personal message with your address and I'll be happy to send you a copy.
I hope this helps!